Title
Resolution Authorizing and Directing the Chief Executive Officer of Colorado Springs Utilities to Enter Into an Agreement Regarding Delivery/Exchange of Manitou Fry-Ark Project Water between Colorado Springs Utilities and the City of Manitou Springs
Presenter:
Jenny Bishop, System Project Planning, Colorado Springs Utilities
Travas Deal, Chief Executive Officer, Colorado Springs Utilities
Body
Summary:
The City of Manitou Springs (Manitou Springs) has requested a renewal of an Agreement Regarding Delivery/Exchange of Manitou Fry-Ark Project Water from Colorado Springs Utilities. Colorado Springs Utilities is seeking City Council approval of a resolution authorizing and directing its Chief Executive Officer to enter into an Agreement for Delivery/Exchange with Manitou Springs.
Background:
Manitou Springs has requested a renewal of an existing Delivery/Exchange Agreement with Colorado Springs Utilities for a twenty-five (25) year term. The agreement allows Manitou Springs to receive deliveries of Frying Pan-Arkansas Project water it is legally entitled to. The agreement is limited to a maximum of 250 acre-feet annually. Contracts for regional water service require prior approval from City Council.
Previous Council Action:
City Council had approved the expiring Delivery/Exchange agreement with Manitou Springs in 2011.
Financial Implications:
Manitou Springs is charged a fee for delivery of the raw water supplies as well as administrative fees. A three-year average of charges for deliveries made under this agreement is $10,750.
City Council Appointed Board/Commission/Committee Recommendation:
The Utilities Board recommended bringing the proposed Agreement for Delivery/Exchange to City Council for consideration.
Stakeholder Process:
Manitou Springs Board of Directors has approved the proposed Agreement for Delivery/Exchange.
Alternatives:
(1) Approve the resolution authorizing the Chief Executive Officer to enter into the Agreement for Delivery/Exchange; (2) not approve the resolution; (3) modify the resolution or the Agreement; or (4) refer the matter back to Colorado Springs Utilities for further consideration.
Recommended Action
Proposed Motion:
Motion for City Council to approve the resolution authorizing and directing the Chief Executive Officer of Colorado Springs Utilities to enter into an Agreement for Delivery/Exchange with Manitou Springs.
Summary of Ordinance Language
N/A